JOSE MARIA COLLEGE
Philippine – Japan Friendship Highway, Sasa, Davao
City
BUSINESS PLAN
BUSINESS NAME
In partial fulfillment for the Degree in
Bachelor of Science in Business Administration
Prepared by:
Author/ Student
DATE
BUSINESS NAME WITH
COMPANY LOGO
I. Table of Contents
Page
I. Table of Contents
i
II. Executive Summary
1
III. General Company Description
Vision 3
Mission
Goal
Objectives
Business Philosophy
Legal Form of Ownership
IV. Products and Services
Description of Products/Services
Competitive Advantages
Pricing Structure
V. Marketing Plan
Market Research
Economics (Industry)
Product/Features and Benefits
Customers
Competition
Strategy
Sales Forecast
VI. Operational Plan
Production
Location
Legal Environment
Personnel
Inventory
Suppliers
VII. Management and Organization
Organizational Structure
Professional and Advisory Support
VIII. Financial Plan
Start-up Costs and Capitalization
Important Financial Assumptions
Projected Three – year Statement of Financial Position
Projected Three – year Income Statement
Projected Three – year Statement of Changes in Equity
Projected Three – year Statement of Cash Flows
Notes to Financial Statements
IX. Appendices
X. List of Tables
II. Executive Summary
Write this section last.
We suggest that you make it two pages or fewer.
Show the highlights of all the parts of your BP here.
Include everything that you would cover in a five-minute interview.
Make it enthusiastic, professional and concise.
If applying for a loan, state clearly how much you want, precisely
how you are going to use it, and how the money will make your business more
profitable, thereby ensuring payment.
III. General Company Description
What business will you be in? What will you do?
Vision: outlines what a company wants to be in the future.
focuses on the future and a source of inspiration and
motivation Mission: explains the company’s reason for being and its guiding
principles. concentrates on the present and defines the customers,
critical processes and it informs about the desired level of performance.
Goals: destinations / where you want your business to be.
At least I goal for growth and 1 goal for profitability
Objectives: progress markers along the way to goal achievement.
SMART (Specific, Measurable, Attainable, Realistic,
Time Bound
At least 2 objectives for every goal
Example: A goal might be to have a healthy successful company
that is a leader in customer service and that has a loyal customer following.
Objectives might be annual sales targets and some specific measures of
customer satisfaction.
Business Philosophy/Core Values: What is important to you in
business?
Legal form of ownership:
Sole Proprietorship ( for capitalization of up to Php1M)
Partnership (for capitalization of more than Php1M up
to Php2M)
Corporation (for capitalization of more than Php2M)
IV. Products and Services
Description of Products/Services
Describe in-depth your products or services. Describe your products and
services AS YOU SEE THEM. (technical description, drawings, photos, sales
brochures, and other bulky items belong in Appendices.)
Competitive Advantages
What factors will give you competitive advantages or
disadvantages?
Pricing Structure
What are the pricing, fee, or leasing structures of your products or
services? What pricing method are you using? Competitive? Cost plus? Etc.
V. Marketing Plan
Market Research
No matter how good your product or your service, the venture cannot
succeed without effective marketing; and this begins with careful, systematic
research. It is very dangerous to assume that you already know about your
intended market. You need to do market research to make sure you’re on track.
Use the business planning process as your opportunity to uncover data and to
question your marketing efforts. Your time will be well spent.
There are two kinds of market research: primary and secondary.
Secondary research means using published information such as industry profiles,
trade journals, newspapers, magazines, census data, and demographic profiles.
This type of information is available in libraries, industry associations, chamber of
commerce, from who sell to your industry, and from government agencies.
Primary research means gathering your own data. (Discuss here in details the
results of your Survey-Demographics & Preferences)
Economics/Industry Analysis
Facts about your industry
Barriers to Entry
Examples of barriers to entry: high capital costs, high
production costs, high marketing costs, consumer acceptance and brand
recognition, training and skills, unique technology and patents, unions,
shipping costs, tariff barriers and quotas
How will you overcome these barriers?
Demand and Supply Analysis
Demand computation
Supply computation
Analysis of demand and supply showing gap
Market Share Computation
Product
Describe your products and services from YOUR
CUSTOMERS’ POINT
OF VIEW.
Features and Benefits: List all your major products and services. For
each product or services describe the most important features. What is special
about it? Then describe the benefits. What will the product do to the customers?
Will you give after-sale services? What will these be? Examples are free
delivery, warranty, support, follow-up, refund policy.
Customers
Identify your targeted customers, their characteristics and their
geographic locations. If you sell a consumer product, but sell it through a
channel of distributors, wholesalers and retailers, you just carefully analyze both
the end consumers and the middleman businesses to which you sell. You may
have more than one customer group. Identify the most important groups.
Competition (Competitive Analysis)
What products and companies compete with you?
List your major competitors. Will they compete with you across the
board or just for certain products, or in certain locations?
Will you have important indirect competitors?
Use the Competitive Analysis table below: You customize based on
your need.
Table 1: Competitive Analysis
FACTOR Name of STRENGTH WEAKNESSE NAME OF NAME OF Importance to
Your business
S COMPETITO COMPETITO Customer
R R
Products
Price
Quality
Selection
Service
Reliability
Stability
Expertise
Company
Reputation
Location
Appearance
Sales Method
Advertising
LEGEND: 1 = Critical 5 = Not very important
Strategy:
Promotion – how will you get the word out to customers?
Advertising – what media, why and how often?
Identify low-cost methods to get the most out of your
promotional budget.
Will you use methods like trade shows, catalog, dealer incentive, word of
mouth, social media, and network of friends or professionals?
In addition, what plans do you have for graphic image support? This
includes things like logo design, cards and letterheads, brochures,
signage and interior design.
Promotional Budget – how much will you spend for each of
the items listed
above?
Sales Forecast:
Prepare a month by month projection for 1 year only
VI. Operational Plan
Explain the daily operation of the business, its location, equipment,
people, processes and surrounding environment.
Production (Process Flow)
Describe how and where your products or services are produced. Use
arrows to connect the processes. Include production techniques, quality control,
customer service, inventory control and product development.
Location
What qualities do you need in a location? Describe your location
(amount of space, type of building, zoning, power and utilities. Is it important that
your location be convenient to transportation or to suppliers? Do you need easy
walkin access? What are your requirements for parking and proximity to
freeway, airports, railroads, and shipping centers? Include a drawing or a layout
of your proposed facility (Appendices)
What will be your business hours?
Legal Environment
Describe the following: licensing and bonding requirements,
permits, health, workplace or environmental regulations, special regulations
covering your industry or profession, zoning or building code requirements,
insurance coverage, trademarks, copyrights, or patents.
Personnel
Discuss number of employees, type of labor (skilled, unskilled,
professional), where and how will you find the right employees? quality of staff,
pay structure, training requirements, schedules.
Inventory – if applicable
What kind of inventory will you keep: raw materials, supplies,
finished goods?
Average value in stock? rate of turnover?
Lead time for ordering?
Suppliers
Identify key suppliers – Names & addresses, type and amount of
inventory furnished, credit and delivery policies, history and reliability
VII. Management and Organization
Who will manage the business on a day-to-day basis? What
experience does that person bring to the business?
Organizational Structure
Prepare an organizational chart showing the management
hierarchy. Prepare a table showing management and personnel
qualifications and job descriptions.
Professional and Advisory support – if applicable
List the following: Board of Directors (if any), management
advisory board, lawyer, accountant, insurance agent,
Banker, consultants, mentors and key advisors.
VIII. Financial Plan
Write a short paragraph about your business’ financial plan.
A. Start-up Costs and Capitalization
Start-up Costs:
Capital Expenditures (enumerate)
xxxxxx
Start-up Expenses and Prepayments (enumerate)
xxxxxx
Contingencies (balancing figure)
xxxxxx
TOTAL START-UP COSTS XXXXX
======
Capitalization:
Details here XXXXX
======
(Totals should be equal)
B. Important Financial Assumptions – 1paper/page
C. Projected Three-year Financial Statements
Statement of Financial Position
Income Statement
Statement of Changes in Equity
Statement of Cash
Flows Notes to the Financial
Statements
IMPORTANT:
The financial statements above are arranged in order. Pls. follow
the sequence. 1 financial statement = 1 paper/page (Portrait) Adjust the font size
to fit the FS to
only 1 page
Your “Notes to the FS” should show the details/computations (if
applicable) of the amounts shown on the FS.
You may use more than 1 paper for the ‘Notes”
IX. APPENDICES
Separate papers
X. LIST OF TABLES (another paper)
Separate papers
